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Question - If a company understated its ending inventory balance for 2014 by $5,000, and overstates its ending inventory balance for 2015 by $8,000, what are the effects on its net income for 2015?
A. Overstated by $3,000
B. Understated by $3,000
C. Overstated by $13,000
D. Understated by $13,000
E. Understated by $8,000
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